CASH AZ Client Presentation

8/8/2019 CASH AZ Client Presentation

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Entaire Programs Overview

Anita Leafty480-481-9335

[email protected]


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Who Entaire Programs are for: Business Owners

What the Programs are: Financed Planning

How the Programs work: Overview of the Programs

Case Study: Paul Smith

Financed Planning is a trademark of Entaire Global Intellectual Property, Inc.

Todays Agenda


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Who Entaire Programs are for:Business Owners


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47% ofBusiness Owners surveyedindicated that they do not believe that theyare financially prepared for their retirement1

68% ofBusiness Owners believe that theywill live below their current lifestyle whenthey retire2

1 Harris Interactive on behalf of Sharebuilder 401(k)2 LIMRA, 2006

So, whats the challenge?

The Business Owners Challenge


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Startup

Growth

Expansion

Maturity

LimitedExcessMoney

ExcessMoney

Reinvested

ExcessFunds

Available

CashingOut

Phase

Phases of the Entrepreneurial Business


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Government Mandated Restrictions

Retirement Health

The Entrepreneurs Dilemma: Restrictions


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Programs:

designed solely for you, the Business Owner,

that allow for large sums of money to grow

tax deferred,

that are tax efficient and cost effective,

that use your business checkbook, and

that will create less risk and more stability inyour portfolio

The Answer


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What the Programs are:Financed Planning


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Note:Hypothetical results for illustrative purposes only and not a representation of past

or future results.

$500K0 Years

$500K10 Years

$500K20 Years

$500K30 Years

$500K$1M

$2M

$4M

The Rule of 72

How long does money take to double?Divide 72 by the assumed rate, the result isthe number of years until a sum doubles.

Assumptions: Net Book Value ofBusiness - $500K

Rule of 72

Interest Rate 7.2%


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Note:A hypothetical crediting rate of 7%. Represents approximations and should not be relied upon as tax or investmentadvice. The performance of financial products fluctuate over time. The actual time to achieve any result cannot bepredicted with certainty.

Choice 3 - $500,000 only once X Today = $500,000

Choice 2 - $ 50,000 per year X 10 years = $500,000

Choice 1 - $ 16,667 per year X 30 years = $500,000

Accelerated Funding

$2,860,393$50,000

$3,808,127$500,000

$1,684,584$16,667

Today 30 Years

Compressed Time Frame Concept


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Compounding with Real Estate

Asset Value = $500,000

$500k Mortgage7%

Interest-Only$35,000 annual cost

7%average annual growth

over 20 years

$500k Mortgage

Asset Value = $1,934,842

$1,434,842 gross gain - $700,000 interest cost = $734,842 Net Gain

Point A Point B

Note:This is a hypothetical example, not indicative of actual results. Actual results will vary.


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Allows client to participate in market upside No downside risk to principal and prior period

earnings

$1,000,000

AnnualCrediting

8%

$1,080,000

Market Down Turn- 8%

$993,660

AnnualCrediting

5%Annual Crediting

0%

$1,134,000

Needed toCatch Up14.12%

The Stability of Equity Indexed Products

Keep in mindIf you received the 5% as shown in this example on the $993,660, you wouldhave a total of $1,043,343. That is a $90,657 difference because of the

guaranteed floor.


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How the Programs Work:An Overview


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Program Overview

Your Business

Global One Financial

Commercial Loan

Step 1

Product Funding

Universal Lifeand/or

AnnuityProducts

Step 3Transfer Method

Your Business

Step 2

You


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Application


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Recent Cases

Furniture $200,000

Dentist $600,000

Doctor $2,400,000

Nuts & Bolts $1,000,000

Industry Case Size


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Case Study: ABC Company


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Case Study ABC Company

Paul Smith, Small Business owner

25 Years in Business

Desired Retirement Age 63


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Summary Paul Smith

Current Age: 50

Years Until Retirement: 13

Desired Annual Income: $115,000 Number of Payout Years: 25

Personal Tax Bracket: 35%

Paul needs a lump sum of at least $1,340,162 atretirement to support an income of $115,000 per

year for 25 years.


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Solution Paul Smith

ABC Company implements a Financed Planning program in theamount of $600,000.

The $600,000 is placed into an Equity Indexed Annuity, owned by

Paul Smith (assumed annual tax deferred earnings of 7%).

After 13 years, Pauls annuity value will have grown to $1,445,907,

which gives Paul an income in the amount of $115,957 per year for

25 years.

ABC Company makes interest payments of approximately

$40,500 annually (assumed interest rate of 6.75%).

(This example assumes that the loan is repaid at retirement using assets that are not part of the programs

financed product - preferably assets with the then-current lowest yielding performance.)


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Equivalent Yield Paul Smith

ABC Company makes interest payments for the Entaire Programof approximately $40,500 annually.

If the company were to distribute this amount to Paul directly, hewould have to pay income tax at 35%, leaving him with $26,325 peryear to invest.

Pauls investment of $26,325 per year for 13 years would have toearn an annual rate of return of 19.26% in order to provide thesame annual income of $115,957 for 25 years.


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Provides alternative to traditional retirementplans

Allows catching up on retirement planning Activates dormant assets

May provide various levels of assetprotection to the corporation, its owners

and the policy holder.

Value of the Entaire Programs


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Individual Level

The product is owned by the individual, not thecorporation. If the corporation is sued, theproduct is not its asset.

Corporate Level

We lend directly to the corporation, which bypledging certain assets, may diminish theattractiveness of law suits against the corporation.

Product Level

Product protection varies depending on state law.These laws define available protection regarding cashvalue and policy attachment by creditors.

Program Structure Asset Protection


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Q & A


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For more information contact

Anita Leafty480-481-9335

[email protected]

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